In a trading update, the said it successfully navigated challenging market conditions in 2023 and completed the sale of 9,922 new homes, ahead of previous guidance, with a particularly strong delivery in Q4.

The group’s private average selling price increased by c.5% to c.£285,770 (2022: £272,206) which it said largely reflects the mix of developments and house types sold.

Persimmon reiterated that its full year operating margins are expected to be in line with those delivered in the first half at c.14%. This reflects the impact of build cost inflation, coupled with the effects of lower volume, one-off costs associated with the remediation of a small number of completed sites and accelerated exit from two sites, along with further investment to position the business for future success.

Looking ahead, the housebuilder said it anticipates market conditions will remain highly uncertain during 2024, particularly for first-time buyers and with a UK election likely this year. However, mortgage rates are beginning to ease, and build costs continue to moderate which will benefit completions in 2024.

Dean Finch, group chief executive, said: “Persimmon performed well in challenging market conditions, delivering completions ahead of expectations in 2023 alongside enhanced quality metrics of our already five-star homes. Persimmon’s offering is resonating well with customers with sales rates relatively robust throughout the year. We have successfully balanced our need to control costs, whilst investing in the business to position it for sustainable growth when conditions improve.

“I would like to thank our colleagues, sub-contractors and suppliers for their commitment and support. Their hard work has helped ensure that Persimmon remains well positioned to serve customers across the UK who seek high quality, sustainable homes at a price they can afford.”